[Federal Register Volume 60, Number 121 (Friday, June 23, 1995)]
[Notices]
[Pages 32726-32728]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-15368]



-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION
[Release No. 35-26310]


Filings Under the Public Utility Holding Company Act of 1935, as 
amended (``Act'')

June 16, 1995.
    Notice is hereby given that the following filing(s) has/have been 
made with the Commission pursuant to provisions of the Act and rules 
promulgated thereunder. All interested persons are referred to the 
application(s) and/or declaration(s) for complete statements of the 
proposed transaction(s) summarized below. The application(s) and/or 
declaration(s) and any amendments thereto is/are available for public 
inspection through the Commission's Office of Public Reference.
    Interested persons wishing to comment or request a hearing on the 
application(s) and/or declaration(s) should submit their views in 
writing by July 10, 1995, to the Secretary, Securities and Exchange 
Commission, Washington, D.C. 20549, and serve a copy on the relevant 
applicant(s) and/or declarant(s) at the address(es) specified below. 
Proof of service (by affidavit or, in case of an attorney at law, by 
certificate) should be filed with the request. Any request for hearing 
shall identify specifically the issues of fact or law that are 
disputed. A person who so requests will be notified of any hearing, if 
ordered, and will receive a copy of any notice or order issued in the 
matter. After said date, the application(s) and/or declaration(s), as 
filed or as amended, may be granted and/or permitted to become 
effective.

Maine Yankee Atomic Power Company (No. 70-7627)

    Maine Yankee Atomic Power Company (``Maine Yankee''), 329 Bath 
Road, Brunswick, Maine 04011, an indirect subsidiary of Northeast 
Utilities and New England Electric System, both registered holding 
companies, has filed a post-effective amendment to its declaration 
under Sections 6(a) and 7 of the Act and Rule 54 thereunder.
    By order dated July 18, 1989 (HCAR No. 24925), Maine Yankee was 
authorized to enter into a Secured Credit Agreement (``Agreement'') 
with a syndicate of commercial banks and to issue promissory notes 
(``Notes'') under the Agreement, through August 31, 1992, from time-to-
time in an outstanding aggregate principal amount of up to $50 million. 
The Notes could have maturities of from one day to ten years from the 
date of issuance. By subsequent order dated August 20, 1992 (HCAR No. 
25608), Maine Yankee was authorized to amend the Agreement (``Amended 
Agreement'') in several respects, including the interest rate options, 
and to extend the time in which it could issue Notes in the same 
outstanding aggregate principal amount, through August 31, 1995.
    Maine Yankee now proposes to extend the time in which it may issue 
Notes under the Amended Agreement in the same outstanding aggregate 
principal amount and under the same terms and conditions, through 
August 31, 1998.
Consolidated Natural Gas Company, et al. (70-8619)

    Consolidated Natural Gas Company (``CNG''), a registered holding 
company, CNG Tower, 625 Liberty Avenue, Pittsburgh, Pennsylvania 15222-
3199, and its wholly owned nonutility subsidiary companies, CNG 
Research Company and Consolidated Natural Gas Service Company, Inc., 
both located at CNG Tower, 625 Liberty Avenue, Pittsburgh, Pennsylvania 
15222-3199; CNG Coal Company; CNG Producing Company (``Producing'') and 
its subsidiary company, CNG Pipeline Company, all located at CNG Tower, 
1450 Poydras Street, New Orleans, Louisiana 70112-6000; CNG 
Transmission Corporation and CNG Storage Service Company, both located 
at 445 West Main Street, Clarksburg, West Virginia 26301; CNG Energy 
Services Corporation (``Energy Services''), One Park Ridge Center, P.O. 
Box 15746, Pittsburgh, Pennsylvania 15244-0746; and CNG's public-
utility subsidiary companies, The Peoples Natural Gas Company, CNG 
Tower, 625 Liberty Avenue, Pittsburgh, Pennsylvania 15222-3199; The 
East Ohio Gas Company, located at 1717 East Ninth Street, Cleveland, 
Ohio 44114-0759; Virginia Natural Gas, Inc., 5100 East Virginia Beach 
Boulevard, Norfolk, Virginia 23502-3488; Hope Gas, Inc., P.O. Box 2868, 
Clarksburg, West Virginia 26301-2868; and West Ohio Gas Company (``West 
Ohio''), P.O. Box 1217, Lima, Ohio 45802-1217 (Collectively, 
``Subsidiaries''), have filed an application-declaration under sections 
6(a), 6(a)(2), 7, 9(a), 10, 12(b) and 12(c) of the Act and rules 43 and 
45. A notice was issued by the Commission with respect to this 
application-declaration on June 2, 1995 (HCAR No. 26300) (``Notice'').
    As set forth in the notice and, more completely, in the 
application-declaration, CNG has proposed to issue and sell commercial 
paper and/or short term notes from time to time through June 30, 1996 
in amounts not to exceed $1.25 billion and to finance the Subsidiaries 
with up to $1.225 billion through June 30, 1996. Additionally, CNG 
Producing proposes through June 30, 1996 to purchase up to 10,000 
shares of its common stock from CNG. Also, CNG Energy Services proposes 
to issue and sell shares of its common stock to CNG at amounts greater 
than par up to a maximum of $10,000 per share.

Consolidated Natural Gas Company, et al. (70-8621)

    Consolidated Natural Gas Company (``Consolidated''), CNG Tower, 
Pittsburgh, Pennsylvania 15222-3199, a registered holding company, and 
its wholly owned nonutility subsidiary company, CNG Energy Service 
Corporation (``Energy Services''), One Park Ridge Center, Pittsburgh, 
Pennsylvania 15244-0746, have filed an application-declaration under 
sections 9(a), 10 and 12(b) of the Act and rule 45 thereunder.
    By order dated February 27, 1987 (HCAR No. 24329) (``Order''), the 
Commission authorized Energy Services, among other things, to be the 
gas marketing subsidiary company for the Consolidated System. 
Specifically, the Order authorizes Energy Services, as a gas marketer, 
to purchase, pool, transport, exchange, store and sell gas supplies 
from competitively priced sources, including the spot markets, 
independent producers and brokers, and the Consolidated System 
producing affiliate, CNG Producing Company (``Gas Related 
Activities'').
    Energy Services is financed by Consolidated pursuant to the 
authorizations granted in annual Consolidated intra-system financing 
proceedings. Energy Services is currently authorized, for the period 
July 1, 1994 through June 30, 1995, to receive up to $100 million from 
Consolidated under the system financing order dated June 27, 1994 (HCAR 
No. 26072) (``Financing [[Page 32727]] Authority''). A request to 
increase the amount of such Financing Authority to $300 million for the 
fiscal period July 1, 1995 through June 30, 1996 is currently under 
review by the Commission.
    Energy Services now proposes, without further Commission approval, 
to invest an aggregate amount not to exceed the lesser of $150 million 
or its unused Financing Authority to acquire: (1) an ownership 
interest, which may be up to 50% of the voting or nonvoting stock, in 
one or more corporations established for the sole purpose of engaging 
in Gas Related Activities; (2) either into its own name or through a 
wholly owned special purpose subsidiary company, up to 50% of the 
general partnership interests in one or more partnerships, or up to 50% 
voting equity interest in one or more other joint business entities 
such as joint ventures or limited liability companies, which are 
established for the sole purpose of engaging in Gas Related Activities; 
and/or (3) up to 100% of the limited partnership interests in one or 
more partnerships established for the sole purpose of engaging in Gas 
Related Activities. None of the projects in which Energy Services would 
seek to invest will be a utility company.
    Energy Services is currently reviewing a number of possible 
investments in projects with nonaffiliates which would enhance its 
ability to obtain supplies of natural gas for its customers. None of 
the projects currently under study would by itself require equity 
investment by Energy Services or its subsidiary company in excess of 
$25 million, with most of the opportunities being in the $3 to $5 
million investment range. The amount that could be invested by Energy 
Services in joint entities would be included in the Financing Authority 
available to Energy Services from Consolidated. However, the amount 
invested (including capitalized development expenses) by Energy 
Services in such joint entities will in no event exceed the lesser of 
$150 million or the unused amount authorized for Consolidated financing 
of Energy Services during the authorization period ending December 31, 
1997.
    Consolidated and Energy Services propose to guarantee their 
obligations incurred as a result of equity investments made in the 
joint entities up to an aggregate amount not to exceed the lesser of 
$150 million or its unused Financing Authority. Such guarantees, if 
made by Consolidated, would be calculated as part of the maximum $750 
million authority to guarantee obligations of Energy Services granted 
in Commission order dated November 16, 1993 (HCAR No. 25926).

Atlantic Energy, Inc. (70-8647)

    Atlantic Energy, Inc. (``Atlantic''), 6801 Black Horse Pike, 
Pleasantville, New Jersey 08232, an exempt public utility holding 
company, has filed an application under Sections 9(a)(2) and 10 of the 
Act.
    By order dated October 15, 1987 (HCAR. 24475) (``Order''), 
Atlantic, a New Jersey corporation, became a public utility holding 
company exempt from all provisions of the Act except section 9(a)(2) 
pursuant to section 3(a)(1). Atlantic's principal electric utility 
subsidiary company, Atlantic City Electric Company (``ACE''), provides 
electric service in southern New Jersey. The Order authorized Atlantic 
to acquire the common stock of ACE and those of ACE's electric utility 
subsidiary company, Deepwater Operating Company, pursuant to Sections 
9(a)(2) and 10 of the Act.
    The Order was issued subject to the condition that neither Atlantic 
nor any non-utility subsidiary of Atlantic would, without prior 
authorization of the Commission, acquire from any person other than a 
subsidiary company or an affiliate of the acquiring company, or an 
affiliate of any associate company, any securities, utility assets or 
interests in other business other than:

    1. Such securities, utility assets, or interest in any business, 
as could property be acquired under the Act were the acquiring 
company a registered holding company or an associate for a 
registered holding company, without further authorization, 
permission, or approval by the Commission;
    2. Securities, or assets, or an interest in a business, 
representing (a) an investment in qualifying cogeneration 
facilities, as defined, pursuant to PURPA in any geographic area or 
(b) an investment in a small power production project located in the 
service territory of Atlantic Electric or any other member of the 
Pennsylvania-New Jersey Maryland Interconnection or within other 
areas hereafter allowed by law or applicable regulation;
    3. Securities, or assets, or an interest in any business, 
representing an investment in a business which is, or upon 
completion of the construction thereof will be, functionally related 
to Atlantic Electric's utility business;
    4. Securities, or assets, or an interest in any business 
representing a passive investment in property acquired on terms 
substantially equivalent to those authorized by the Commission in 
Central and South West Corp., HCAR No. 23578, 32 SEC Docket 412 
(January 22, 1985);
    5. The purchase by an investment subsidiary of Atlantic Energy 
of accounts receivable of associate companies in Atlantic Energy's 
system and others on terms substantially equivalent to those 
authorized by the Commission in Central and South West Corp., HCAR 
No. 23767, 33 SEC Docket 971 (July 19, 1985) and HCAR No. 24157, 36 
SEC Docket 245 (July 31, 1986); or
    6. Securities, or assets, or any interest in any business (a) 
which is substantially equivalent to any type of investment of any 
registered holding company or any exempt holding company, or any 
subsidiary company of any such company, that shall have been 
authorized, permitted, or approved by order of the Commission issued 
subsequent to January 1, 1987, or by any rule or regulation of the 
Commission, or (b) which conforms to any guidelines or restrictions 
of a general or generic nature applicable to registered holding 
companies or exempt holding companies or subsidiaries thereof, that 
have been adopted or approved by order of the Commission issued 
subsequent to January 1, 1987, or by any rule or regulation of the 
Commission.

    Atlantic requests that the condition be removed from the Order 
because the circumstances which gave rise to the inclusion of the 
condition in the Order no longer exist and such removal would not be 
detrimental to the public interest. Atlantic notes that ACE's rates and 
certain other matters are subject to regulation by the New Jersey Board 
of Public Utilities (``BPU'') and Atlantic believes that the regulatory 
structure in existence in New Jersey is sufficient to protect 
ratepayers' interests.
    In addition, the New Jersey Division of the Ratepayer Advocate, 
which is the successor to Rate Counsel, has indicated that it does not 
object to the removal of the condition, subject to Atlantic agreeing to 
remain in compliance, unless the Ratepayer Advocate shall agree to any 
deviation, with the following limitation on non-utility investments:

    So long as Atlantic Energy shall be an exempt holding company 
under the 1935 Act, except as may otherwise be authorized, permitted 
or approved by order of the Commission, or of any successor 
commission, under the 1935 Act, neither Atlantic Energy nor Atlantic 
City Electric shall make any investment, including loans, in any 
non-utility subsidiary, affiliate or associate company that would 
cause the total investment by Atlantic Energy and Atlantic City 
Electric in all such non-utility subsidiaries, affiliates and 
associate companies to exceed, at the time any such investment is 
made, 10% of Atlantic Energy's consolidated assets. For purposes of 
the foregoing, a company primarily engaged in the business of 
investing in and/or the ownership or operation of, qualifying 
facilities, as defined by, PURPA [the Public Utility Regulatory 
Policies Act of 1978], shall be deemed not to be a ``non-utility'' 
subsidiary, affiliate or associate company.

    This limitation is contained in an agreement between Atlantic and 
Rate Counsel established at the time of the formation of Atlantic as a 
holding company.

    [[Page 32728]] For the Commission, by the Division of Investment 
Management, pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-15368 Filed 6-22-95; 8:45 am]
BILLING CODE 8010-01-M